Co-operative Group Limited Agreement to Sell Insurance Underwriting Business (5629N)

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RNS Number : 5629N

Co-operative Group Limited

18 January 2019

18 January 2019

Co-op agrees to sell insurance underwriting business to Markerstudy and creates distribution agreement for home and motor policies

-- Co-op is to receive GBP185m for its underwriting business and enter a 13 year distribution agreement

-- Co-op will continue to sell insurance products with a clear aim to increase the range of products available to Co-op members

Co-operative Group Limited (the Co-op) is today announcing the sale of its underwriting business, CIS General Insurance Limited to Markerstudy, whilst also confirming a 13 year agreement with Markerstudy to distribute motor and home insurance products.

The sale of the underwriting business will allow Co-op to focus on its strategy of providing a broader range of insurance products to its 4.6 million members which meet their different needs.

Under the distribution business of Co-op Insurance Services Limited, Co-op will focus on developing innovative propositions with Markerstudy whilst continuing to work with existing partners who already support some of the Co-op's existing products.

Alongside its innovative product range and strong technology capability, a key part of the selection of Markerstudy as the Co-op's partner for home and motor insurance, was its desire to create an environment that facilitates expansion and growth as well as its commitment to retain a large number of colleague roles.

The transaction is expected to complete in the next six months, subject to PRA and FCA approval.

For more information please contact:

Russ Brady / [e-mail] / 07880 784 442

Jenna Moss / [e-mail] / 07770 441 828

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January 18, 2019 12:40 ET (17:40 GMT)